The market has been dipping due to the general market situation but some projects have been putting things in place which will enable investors to earn too, while some introduced campaigns like farming, giveaways, staking and burning.
Staking/Farming is my favorite activity in the market right now. As a hodler it gives me something to interact with while holding. But the problem with this is the super inflation, coupled with the extreme fear in the market leading to increased sell pressure of rewards.
Dafi protocol is a DeFi project that intends to provide some solution for this via use of synthetic rewards. Every token can create a dToken version of itself on the protocol, these dTokens are synthetics that offer better yield in applications like Staking, Liquidity and even Gaming incentives.
Taking $DAFI itself for example, for each dToken creation, a protocol has to purchase DAFI on Uniswap and send DAFI to the DAFI token holders/stakers. This means that over time, DAFI’s circulating supply declines, and the APY that DAFI holders receive from ‘Super Staking’ increases. It’s a powerful token utility that adds more value and yield for token holders. Simply, other protocols pay DAFI stakers more as the adoption increases.
The passive income you earn from Super Staking also multiplies as the protocol demand increases too, this means that long term holders of DAFI can relax and let the protocol do all the hard work for them.
According to he idea behind DAFI is to create a Sustainable High Yield APY, which for the first-time ever can now be achieved without releasing large amounts of tokens.
Some of the integrated projects include Corestarter, Polygen, Nitro league, Quidd and more.
Personally, I think the use of synthetic rewards is something DeFi projects are starting to experiment and might just become a new trend. Will appreciate your thoughts. Do you think it’s feasible? What are the risks you foresee? What improvements will be welcome?
**Also looking forward to learning about other projects towing same path. If you know any please share**🙏🏽
Market might be down but Crypto will always bounce back, I think it’s research time before investment time.